Company stakeholders use asset management ratios to provide insights into: The effectiveness of management in providing ready funds to pay the firm's short term financial obligations as they become due The effectiveness of management to generate before-tax and after-tax profits using the firm's assets The firm's use of financial capital, both borrowed and equity, to acquire assets, as well as the firm's ability to pay the interest and dividends associated with these funds The effectiveness of management in generating spendable sales dollars using the firm's current and foxed assets